Expert: Sue Bernstein - 6/30/2006

Question
I bought a home and the appraiser's report indicated that the home on 3825 E. Lyell,Fresno, CA  93702 is only a two bedroom.  When I bought that home there was no discloser of the conversion or permits of the third room.  It first stated it was a two bedroom then a few months later it was disclosed as three bedroom.  I am first time home buyer and when I received this report and viewed it on the homes sold on my street it indicated that home was sold for $130,000 and was a two bedroom.  There may be nothing I can do but I will continue to search if this is right.  To make a good judement I have to go to hall of records to get the floor plan of my home. Please let me know what if this scenerio becomes true?  thank you

Answer
Dear Rick,

The only thing you need to investigate is whether there were permits pulled when the 2 bedroom home became a 3 bedroom home.  If the 3rd bedroom was originally a den and someone just added a closet to the existing room I wouldn't be terribly concerned.  Just make sure you disclose that when you sell. If there was construction done creating a 3rd bedroom then there should be permits.  If this was done without permits it should have been disclosed to you during escrow.  Go to the city and check for permits.  Also check the Transfer Disclosure Statement you received when you went into escrow.  There 2 questions that ask whether there are any modifications done without permit and whether there are any modifications not done to code. If permits were required and the seller did not disclose you might have a claim against the seller.  If you were made aware of the fact there were no permits and there was a room addition during escrow and chose to close anyway you may not have a case now.

Good luck

Sue Bernstein